Short for Planned Amortization Bond, a mortgage-backed bond that may be offered in a collateralized mortgage obligation. These bonds typically take longer to mature, so they are often partnered with faster growing bonds to yield the bondholder a return quicker and prevent early redemption.
Related information about PAC bond:
- PAC Bond
Planned amortization class (PAC) bonds are a type of CMO bond. They are designed to largely eliminate prepayment risk for investors. They do this by ...
- PAC Bond - Financial Dictionary - The Free Dictionary
Stands for Planned Amortization Class bond. A tranche class offered by some CMOs that has a sinking fund schedule and an ability to make principal payments ...
- PAC Bond - definition of PAC Bond by the Free Online Dictionary ...
A moccasin or soft shoe designed to be worn inside a boot. 2. A shoepac. [Short for shoepac, alteration (influenced by shoe) of pidgin Delaware seppock, shoe, ...
- What is PAC bond? definition and meaning
Definition of PAC bond: Short for Planned Amortization Bond, a mortgage-backed bond that may be offered in a collateralized mortgage obligation. These bonds ...
- Planned Amortization Class (PAC) Tranche Definition | Investopedia
A class of tranche in a planned amortization class (PAC) bond that receives a primary payment schedule. As long as the actual prepayment rate is between a ...
- Pac Bond: Definition from Answers.com
acronym for planned amortization class bond, PAC is a tranche class offered by some collaterized mortgage obligations (CMOs), which is unlike other CMO.
- PAC Bond Definition - NASDAQ.com
PAC Bond: read the definition of PAC Bond and 8000+ other financial and investing terms in the NASDAQ.com Financial Glossary.
- What is PLANNED AMORTIZATION CLASS (PAC) BOND? definition ...
Definition of PLANNED AMORTIZATION CLASS (PAC) BOND: A mortgage that has profit potential protected by a companion bond instead of prepayment risk.